Saucon Valley school directors last night narrowly passed the 1990-91 budget raising taxes 7.6 mills, much to the displeasure of more than 200 residents present.

The $11.7 million budget passed 5-4 and sets millage at 96.6. The 7.6-mill increase is down from the preliminary budget -- adopted with a proposed 7.89-mill increase -- and pared from an original figure that would have required 12 mills.

The partisan crowd applauded a majority of speakers who called for holding the tax rate or modifying the increase. Board President Richard Schaedler frequently called for order and gaveled for quiet when the crowd voiced loud displeasure during two hours of public comment before official budget discussions in the Saucon Valley High School Auditorium.

The meeting began with confrontation and was briefly suspended when a man demanded to be heard. Activity resumed when one school director clarified that the resident was trying to point out that speakers could not be heard and should use the public address system properly.

Residents did not pick apart the budget but instead stuck to two primary issues: An expectation that new housing will bring more tax revenue and a suggestion to dip into reserves, carrying a lower ending balance for reserves. The result could result in a budget reflecting no increase, some said.

Frank Vasko of 37 E. High St., Hellertown, offered a petition signed by 750 borough residents asking to rework the budget and lower the increase.

Township residents Bruce Davis and Thomas Pook were among the leaders claiming that the district may expect more in revenues because of added housing starts. Recent figures from Northampton County show real estate tax assessment in the district to produce $55,000 more than budgeted, they said.

However, district Business Manager Mary Curtin said that money has already been accounted for. She considered a 1-1/2 percent contingency for the revenue, which is in line with the county finding.

Davis and Pook said that much more income may be considered for the coming year from housing that should be completed, including some of the 642 units from Society Hill at Lower Saucon. Pook said that the district could conservatively plan on an added $150,000 income from homes to be completed this year.

Curtin again was cautious as were several board members. They noted that only one settlement has been made at Society Hill and cited a "flat" real estate market.

"I am not disputing that assessment will go up," Curtin said. "I am disputing whether we will receive it this year."

"There is a substantial tax base that should be included in your budget," Pook said.

A vote to rework the budget met with resident applause but failed 5-2. Directors Michael Yamnicky and Thomas Macarro favored more time.

A subsequent vote for approval passed, 5-4. Those in favor were Schaedler, Sandra Tucci, Pamela Hahn, Clarann Filko and Bruce Browne. Macarro, Yamnicky, Walter Weaver and Ralph Puerta opposed the rate, seeking more time or wanting further discussion last night.

A mill in Saucon Valley generates $64,615. The 96.6 rate means that residents will pay $96.60 per $1,000 assessed value.

The last cut represents $24,400. Among those items was a $10,000 public address system for the high school, some summer help and travel expenses, Curtin said.